Poly(3,4-ethylenedioxythiophene) (PEDOT) is an important electrically conductive polymer because of both its high conductivity and temperature stability. Its monomeric unit, 3,4-ethylenedioxythiophene (EDOT), however, has poor solubility in water. While some water-soluble EDOT compounds are known in the art, such as EDOT-CH2OH, the known method of making EDOT-CH2OH involves a complex series of six reaction steps starting from thiodiglycolic acid. Thus, a need exists for improved processes for making derivatized EDOT compounds having improved solubility in water.